RBI may incur $9-12 bn in FCNR(B) hedging costs

The RBI may incur $9-12 billion in FCNR(B) hedging costs as inflows reached $52.3 billion by August 13. While these costs seem high, experts say they will not be significant for the central bank. Madan Sabnavis said, “There will be a cost, but it will not be significant.”